Income Related Rent : Contents
Net equity
Net equity in a property
The net equity in a property is:
- house and/or land value
less
- outstanding mortgage only (no interest)
Net equity in a vehicle, caravan or boat
Net equity in a vehicle, caravan or boat is the amount of money the applicable person would have if they sold their vehicle, caravan or boat after they had paid any debts owing on it.
Example
Tom has a boat that has a market value of $4000 but he still owes the bank $1500, so the net equity would be $2500. This is the amount that Tom would get if he sold the boat at market value and paid the bank what it was owed.
For more information see:
